Wednesday, May 24
th saw the front-month NYMEX Natural Gas Futures Contract open at $2.372, five cents above Tuesday’s closing price of $2.321. Gaining ground overnight, the contract stabilized near $2.380 for the duration of the session as traders overlooked bearish weather forecasts, instead training their gaze upon the declining rig count. Marking the intraday high of $2.402 at 10:20AM and again ahead of 2:30PM, and tallying the intraday low of $2.362 at 11:05AM, June closed higher on Wednesday at $2.398.
Set to assume the prompt-month position next Tuesday, July closed nearly eight cents higher at $2.566.
The EIA Natural Gas Storage Report is due out on Thursday at 10:30AM. The report is expected to show a 94 BCF injection to storage for the week ended May 19. This compares to an 87 BCF injection at this time last year and a five-year average injection amount of 96 BCF.
As of 6:55AM EST this morning in Globex, WTI Crude was down $1.38; Natural Gas was down three cents; Heating Oil was down four cents; and Gasoline was down six cents.
For access to Sprague’s full Natural Gas Market Watch Report including commentary not posted here, please send your request to
natgas@spragueenergy.com or call 1-855-466-2842.
This market update is provided for information purposes only and is not intended as advice on any transaction nor is it a solicitation to buy or sell commodities. Sprague makes no representations or warranties with respect to the contents of such news, including, without limitation, its accuracy and completeness, and Sprague shall not be responsible for the consequence of reliance upon any opinions, statements, projections and analyses presented herein or for any omission or error in fact. This document may not be reproduced or redistributed, in whole or in part, without the prior written permission of Sprague.